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Boeing, Dassault and Saab court Brazil plane deal

Brazil needs to replace its aging Mirage jets.
by Staff Writers
Rio De Janeiro (AFP) April 19, 2009
Aviation giants Boeing, Dassault and Saab were locked in quiet but fierce competition at a trade show here for a multi-billion dollar deal later this year with the Brazilian Air Force.

The jostling took place this week at the Latin American Aero and Defense trade show, the region's top defense and aviation exposition at the Rio Centro convention center just outside Rio de Janeiro.

"It's a must visit," one aircraft manufacturer said.

To replace its aging Mirage jets, the Brazilian government, by the end of August most likely, will choose from these advanced, multi-role combat aircraft: the Rafale, of France's Dassault Aviation; the Gripen JAS-39A of Sweeden's Saab Grippen; or the F/A-18 E/F Super Hornet of US Boeing.

The three defense groups will be making their best and final offers in June.

For the Rafale, the Brazil contract offers a new chance at success after a series of missed export deals, most recently with India.

Brazil plans to make an initial purchase of 36 aircraft for 2.2 billion dollars to modernize its armed forces. It could order up to 120 aircraft by 2040.

The new aircraft will in 2014 replace the Brazilian Air Forces' 50 US Northrop's F-5s, and a dozen Dassault Mirage 2000. They will be tasked with defending a sprawling country that takes up almost half of South America.

Gripen international sales and marketing vice president Bob Kemp estimated the contract at "about two to three billion dollars."

The three aircraft are all equipped with state-of-the-art technology but differ sharply: the Rafale and Super Hornet are high-performance twinjets compared to the single-engine Gripen.

However, the Sweedish craft boasts of greater flexibility and a smaller price tag. "We're half the price of our rivals," Kemp told reporters.

The Gripen is the favorite of Brazilian pilots, but "Brazil's choice will be above all a political matter," Defesanet website director Nelson During said recently.

In addition to new combat aircraft, Brazil wants to acquire new technology and the ability to build its own, new-age fighter jets in the future. So competitive pricing and technology transfers are two key elements in the bidding war.

On that front, Rafale has the advantage due to France's readiness to enter into a long-term partnership with Brazil, similar to their recent helicopter and submarine deal.

"We propose a real strategic partnership independent of any third country," Dassault Aviation vice president for military sales J.P.H.P. Chabriol told AFP, adding that the Rafale has already been cleared for export by France.

The Rafale also avoids all US technology export restrictions, which the Super Hornet and the Gripen have to contend with since their avionics are largely US made.

Saab and Boeing have said they are prepared to transfer most of their avionics.

US General Glen Spears, Deputy Commander, US Southern Command, which includes Latin America, told reporters that the United States would guarantee technology transfer, adding that the F/A-18 E/F Super Hornet was a low risk decision.

The defense chiefs of France, Jean-Marie Bockel, and Sweden, Sten Tolgdors came to the aviation show to bolster their sales pitch.

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Gates busy 'selling' his weapons plans to top brass
Newport Beach, Rhode Island (AFP) April 18, 2009
Defense Secretary Robert Gates criss-crossed the country this week trying to get the top brass behind his cost-cutting military budget that would boost funds for counter-insurgency warfare in Iraq and Afghanistan.







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